Trading Volatility in a Market Sell-Off
I didn’t just make this stuff up either – my Profit Revolution members can tell you how I helped them protect their portfolios on Friday, a day when the market unexpectedly dropped almost 1,000 points:
To get more trades just like the ones I riffed on Friday, click here to join our 24/7 chat room. It doesn’t matter if the market is open or closed…
If Money Map employees are working or not…
And in the video below, I break down just what we did on Friday that helped us make money while the majority of people in the market were losing it…
Everything Is Down
Stores of wealth like gold and silver – they were down.
Even Bitcoin was hurting.
The only things that worked yesterday were treasuries, Apple… and the VIX.
I’ve never seen movement like this before. Over the last four days, we’ve seen the biggest moves in history in the VIX futures on a percentage basis.
I mean, the December futures are moving up and down north of 15% on a daily basis – that’s absolutely bananas.
So… what does this mean? And how long will the mayhem last?
I’ll tell you one thing: my VIX light is green.
This market has no idea what’s going on. And it’s terrified.
We’ve seen massive gaps up and down. We’ve experienced big mid-day selling. And it’s not over yet.
We could be up 100 today and down 100 tomorrow. Volatility is about to absolutely fly left and right, and the market is going to move very hard up and down.
It’s the first of the month – and I think it’ll be a month where the VIX touches over 40 before settling at 15.
The Best of the Best as the Market Jumps Back
- VBI Vaccines Inc. (Nasdaq:VBIV)
VBIV opened up 12% this morning after winning FDA approval for its Hepatitis B vaccine. And I think this thing could make a run at $4. If it does, IV will blow up – making a lot of money for anyone who gets in early.
The January 2022 $3.50 calls are only $0.50. And when VBIV hits $4, they could be worth up to a buck for a 100% profit.
- Bank of America Corp. (NYSE:BAC)
38,000 of the BAC December $50 calls traded for a dime yesterday:
Now, I’m not exactly sure if this was an open or a close. But either way, it’s bullish.
If this is opening, then the trader is saying that they absolutely think BAC is going to blow higher.
If it’s closing, then it’s shutting down a short call position, meaning they’re worried about upside.
Now, I didn’t see that much volume on a single day, which makes me think these are opening – and the customer is taking a significant bet on BAC getting ahead of steam.
BAC has made a run at $50 a few times, but it hasn’t been able to quite get there:
This is one I’m keeping a close eye on for some cheap options for my Profit Revolution members.
For another big-money trade, read on…
The Big Cheese
They were long the December 10 $35 calls and sold them for about 20 cents. A week later, they bought a bullish call ratio.
KHC has been in a big dip as of late…
KHC May-Nov 2021
And this trader is positioning themselves for a bounce.
Now, I don’t love that this trader sold their first calls for a loss. And I’m not looking for a blow-out move here. But the fact that this trader is putting some conviction on their trade makes me want to keep an eye on it.
The KHC January 2022 $35 calls are a really inexpensive way of playing a pop in the food company.
At about $34 right now, this trade doesn’t require too big a move to return an impressive profit.
If you missed my Emergency Trading Session today, make sure you tune into Friday morning’s Profit Takeover show. I’m going live at 10AM ET with the one and only Coach Brian King – and you don’t want to miss it.
Until next time,
Founder, Profit Takeover
December 01 2021